The real estate sector performs relatively in-line with the wider economy. Prosperous periods bring about high growth and inflation, leading to strong returns in real estate investments. These factors drive the profitability and cash flows of real estate companies, which in turn steer the dividend payout and yield for investors. During economic growth, these companies provide an opportune time to increase your portfolio income through dividends. If you’re a long term investor, these high-dividend real estate stocks can boost your monthly portfolio income.
Monmouth Real Estate Investment Corporation (NYSE:MNR)
MNR has a substantial dividend yield of 4.54% and is paying out 159.34% of profits as dividends . MNR’s last dividend payment was US$0.68, up from it’s payment 10 years ago of US$0.60. Much to the delight of shareholders, the company has not missed a payment during this time. More on Monmouth Real Estate Investment here.
LTC Properties, Inc. (NYSE:LTC)
LTC has a sumptuous dividend yield of 6.08% and the company currently pays out 103.31% of its profits as dividends . LTC’s DPS have risen to US$2.28 from US$1.56 over a 10 year period. They have been consistent too, not missing a payment during this 10 year period. LTC Properties seems reasonably priced when looking at its PE ratio (17). The industry average suggests that US REITs companies are more expensive on average 20.8. More detail on LTC Properties here.
Agree Realty Corporation (NYSE:ADC)
ADC has a sumptuous dividend yield of 4.20% and is paying out 96.26% of profits as dividends , with analysts expecting this ratio to be 118.86% in the next three years. Although investors would have seen a few years of reduced payments, it has so far always picked up again, with dividends increasing from US$2.00 to US$2.08 over the past 10 years. The company outperformed the us reits industry’s earnings growth of 4.85%, reporting an EPS growth of 28.80% over the past 12 months. More on Agree Realty here.
For more solid dividend paying companies to add to your portfolio, explore this interactive list of top dividend payers.